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Home My WebLink AboutRESO 9504DocuSign Envelope ID: 5E01555D-26B3-44BD-94C9-6281C678F5F9 Resolution No. 9504 Resolution of the Council of the City of Palo Alto Amending Rate Schedule G-10 (Compressed Natural Gas Service) to Recover Cap- and-Trade Regulatory Compliance Costs and Approving New Palo AltoGreen Gas Rate Schedule G-10-G (Compressed Natural Green Gas Service) RECITALS A. On January 26, 2015, the City Council amended retail gas rate schedules to recover compliance costs associated with the state's mandatory cap-and-trade program (Staff Report 5397, Resolution 9488), however rate schedule G-10 (Compressed Natural Gas Service) was inadvertently omitted from the package of gas rate schedules presented. B. On April21, 2014, the City Council established the PaloAitoGreen Gas Program (Staff Report 4596, Resolution 9405) to allow customers to voluntarily reduce or eliminate the greenhouse gas emissions associated with their natural gas usage, however, rate schedule G-10 (Compressed Natural Gas Service) was unintentionally omitted from inclusion in the Green Gas Program. C. The Council wishes to correct this oversight in order to enable the City's gas utility to recover the cost of providing service under the state mandated cap-and-trade program, and to include all gas rate schedules in the City's voluntary Palo AltoGreen Gas Program. D. Pursuant to Chapter 12.20.010 of the Palo Alto Municipal Code, the Council of the City of Palo Alto may by resolution adopt rules and regulations governing utility services, fees and charges. The Council of the City of Palo Alto does hereby RESOLVE as follows: SECTION 1. Pursuant to Section 12.20.010 of the Palo Alto Municipal Code, Utility Rate Schedule G-10 (Compressed Natural Gas Service) is hereby amended to read as attached and incorporated. Utility Rate Schedule G-10, as amended, shall become effective April20, 2015. SECTION 2. Pursuant to Section 12.20.010 of the Palo Alto Municipal Code, Utility Rate Schedule G-10-G (Compressed Natural Green Gas Service) is added as attached and incorporated. Utility Rate Schedule G-10-G, as amended, shall become effective April 20, 2015. SECTION 3. The Council finds that the revenue derived from the adoption of this resolution shall be used only for the purpose set forth in Article VII, Section 2, of the Charter of the City of Palo Alto. 1 150402 sdl 6053291 DocuSign Envelope ID: 5E01555D-26B3-44BD-94C9-6281C678F5F9 SECTION 4. The Council finds that the fees and charges adopted by this resolution are charges imposed for a specific government service or product provided directly to the payor that are not provided to those not charged, and do not exceed the reasonable costs to the City of providing the service or product. SECTION 5. The Council finds that the adoption of this resolution changing gas rates to cover the cost of regulatory compliance with the state's cap-and-trade program and to meet the voluntary Palo AltoGreen Gas Program's operating expenses is statutorily exempt from environmental review under the California Environmental Quality Act (CEQA), pursuant to California Public Resources Code Sec. 21080(b)(8) and Title 14 of the California Code of Regulations Sec. 15273(a). After reviewing the staff report and all attachments presented to Council, the Council incorporates these documents herein and finds that sufficient evidence has been presented setting forth with specificity the basis for this claim of CEQA exemption. INTRODUCED AND PASSED: April 20, 2015 AYES: BERMAN, BURT, DUBOIS, FILSETH, HOLMAN, KNISS, SCHARFF, SCHMID, WOLBACH NOES: ABSENT: ABSTENTIONS: ATTEST: _ / ~~OLMfV City Clerk Mayor APPROVED AS TO FORM: APPROVED: lnDocuSigned by: L:la~~--QDo.· cuSign. ed.·· by .. ' .. lf•xtff-1' 3QF7298fB2Q64DB Senior Deputy City Attorney City Manager rl.DocuSigned by: ~::'~!~:.? Director of Utilities GDocuSigned by: ~PUVJ 82AOE35fnzc5496 Director of Administrative Services 2 150402 sdl6053291 DocuSign Envelope ID: 5E01555D-26B3-44BD-94C9-6281C678F5F9 ATTACHMENT C COMPRESSED NATURAL GREEN GAS SERVICE UTILITY RATE SCHEDULE G-1 0-G A. APPLICABILITY: This schedule applies to the wholesale sale of natural gas to the City-owned compressed natural gas (CNG) fueling station at the Municipal Service Center in Palo Alto under the PaloAltoGreen Gas Program: B. TERRITORY: c. The City-owned compressed natural gas (CNG) fueling station located at the Municipal Service Center in City of Palo Alto. UNBUNDLED RATES: Per Service Monthly Service Charge: ........................................................................................................ $50.65 PerTherm Supply Charges: Commodity (Monthly Market Based) .................................................... $0.10-$2.00 Cap and Trade Compliance Charges .................................................. $0.00 to $0.25 Distribution Charge ............................................................................ ,. ................................... $0.0509 PaloAitoGreen Gas Charge ................................................................................................... $0.1200 D. SPECIAL CONDITIONS l. Calculation of Cost Components The actual bill amount is calculated based on the applicable rates in Section C above and adjusted for any applicable discounts, surcharges and/or Taxes. On a Customer's bill statement, the bill amount may be broken down into appropriate components as calculated under Section C. The Commodity charge is based on the monthly natural gas Bidweek Price Index for delivery at PO&E Citygate, accounting for delivery losses to the Customer's Meter. The Cap and Trade Compliance Charge reflects the City's cost of regulatory compliance with the state's Cap and Trade Program, including the cost of acquiring compliance·instruments sufficient to cover the City's Gas Utility's compliance obligations. The Cap and Trade Compliance Charge will change in response to CITY OF PALO ALTO UTILITIES Issued by the City Council CITY OF PALO ALTO UTILITIES Effective 4-20-20 IS Sheet No.G-10-G-l DocuSign Envelope ID: 5E01555D-26B3-44BD-94C9-6281C678F5F9 COMPRESSED NATURAL GREEN GAS SERVICE UTILITY RATE SCHEDULE G-1 0-G changing market conditions, retail sales volumes and the quantity of allowances required. The Commodity and Cap and Trade Compliance Charges will fall within the minimum/maximum range set forth in Section C. l. PaloAitoGreen Gas Program Description and Participation PaloAltoGreen Gas provides for the reduction of green-house gas (GHG) emissions associated with a Customer's Gas usage, through the purchase of certified environmental offsets, with a preference to projects located in California. Purchases are made to match I 00% of the therm usage at the Customer's premises every month. Customers choosing to participate shall fill out a PaloAltoGreen Gas Program application provided by the Customer Service Center. CITY OF PALO ALTO UTILITIES Issued by the City Council CITY OF PALO ALTO UTILITIES {End} Effective 4-20-20 IS Sheet No.G-10-G-2 Docu~ II $ICUIIIII Certificate Of Completion Envelope Number: 5E01555D26B344BD94C96281C678F5F9 Status: Completed Subject: Please DocuSign these documents: RESO 9504 CNG Rate final-13252.pdf, RESO 9504-Attachment A-... Source Envelope: Document Pages: 4 Certificate Pages: 5 AutoNav: Enabled Envelopeld Stamping: Enabled Record Tracking Status: Original 6/24/2015 7:54:20 AM PT Signer Events Amy Bartell Amy.Barteii@CityofPaloAito.org Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Accepted: 6/24/2015 8:40:32 AM PT ID: 05bfb179-780b-4087 -8309-bd762aa1 c6c7 Lalo Perez Lalo.Perez@CityofPaloAito.org Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Accepted: 6/24/201512:14:35 PM PT I D: 9db62c2e-37af-40eb-82fb-7 ea8d88bc046 Valerie Fong Valerie.Fong@CityofPaloAito.org Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Accepted: 6/24/201512:20:26 PM PT ID: 64fd8c3e-aa01-4773-ae19-9face9cb244d James Keene james.keene@cityofpaloalto.org City Manager City of Palo Alto Security Level: Email, Account Authentication (None) Electronic Record and Signature Disclosure: Accepted: 4/14/2015 5:40:07 PM PT ID: 44fe333a-6a81-4cb7-b7d4-925473ac82e3 In Person Signer Events Editor Delivery Events Signatures: 4 Initials: 0 Holder: Kim Lunt kimberly.lunt@cityofpaloalto.org Signature lnDoeuSigned by: L::t~~ Using IP Address: 199.33.32.254 [LZ"sp~ B2ADF35ED7C5496 ... Using IP Address: 199.33.32.254 ~~~df~~ 1D583588F83E412 ... Using IP Address: 199.33.32.254 Using IP Address: 199.111.1.65 Signature Status Envelope Originator: Kim Lunt 250 Hamilton Ave Palo Alto , CA 94301 kimberly.lunt@cityofpaloalto.org IP Address: 199.33.32.254 Location: DocuSign Timestamp Sent: 6/24/2015 7:57:50 AM PT Viewed: 6/24/2015 8:16:09 AM PT Signed: 6/24/2015 8:41:15 AM PT Sent: 6/24/2015 8:41:16 AM PT Viewed: 6/24/2015 12:14:35 PM PT Signed: 6/24/2015 12:14:45 PM PT Sent: 6/24/2015 12:14:47 PM PT Viewed: 6/24/2015 12:20:26 PM PT Signed: 6/24/2015 12:20:55 PM PT Sent: 6/24/2015 12:20:57 PM PT Viewed: 7/6/2015 10:01:49 AM PT Signed: 7/23/2015 11 :28:10 AM PT Timestamp Timestamp